[Federal Register Volume 62, Number 11 (Thursday, January 16, 1997)]
[Proposed Rules]
[Pages 2323-2324]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 97-1106]


 ========================================================================
 Proposed Rules
                                                 Federal Register
 ________________________________________________________________________
 
 This section of the FEDERAL REGISTER contains notices to the public of 
 the proposed issuance of rules and regulations. The purpose of these 
 notices is to give interested persons an opportunity to participate in 
 the rule making prior to the adoption of the final rules.
 
 ========================================================================
 

  Federal Register / Vol. 62, No. 11 / Thursday, January 16, 1997 / 
Proposed Rules  

[[Page 2323]]



OFFICE OF PERSONNEL MANAGEMENT

5 CFR Parts 831 and 844

RIN 3206-AH68


Revised Application Procedures for Disability Retirement Under 
CSRS and FERS

AGENCY: Office of Personnel Management.

ACTION: Proposed rule.

-----------------------------------------------------------------------

SUMMARY: The Office of Personnel Management (OPM) is proposing 
regulations to establish uniformity in the application procedures for 
disability retirement under the Civil Service Retirement System (CSRS) 
and the Federal Employees Retirement System (FERS). The regulations 
would allow employees to meet the filing deadline for disability 
retirement by submitting applications directly to their former 
employing agency or to OPM within 1 year after separation.

DATES: Comments must be received on or before March 17, 1997.

ADDRESSES: Send comments to John E. Landers, Chief, Retirement Policy 
Division; Retirement and Insurance Service; Office of Personnel 
Management; P.O. Box 57; Washington, DC 20044; or deliver to OPM, Room 
4351, 1900 E Street, NW., Washington DC. Comments may also be submitted 
by electronic mail to [email protected].

FOR FURTHER INFORMATION CONTACT:
Robert Girouard, (202) 606-0299.

SUPPLEMENTARY INFORMATION: Section 8337(b) of title 5, United States 
Code establishes the legal requirements for applying for disability 
retirement under the Civil Service Retirement System (CSRS), while 
section 8453 of title 5 establishes the application requirements for 
disability retirement under the Federal Employees Retirement System 
(FERS). Both laws state that a disability retirement claim may be 
allowed only if the ``application is filed with the Office [of 
Personnel Management] before the employee or Member is separated from 
the service or within 1 year thereafter.'' Both the CSRS and FERS laws 
allow extension of the time limit only in cases involving the 
employee's mental incompetence.
    Office of Personnel Management (OPM) regulations implementing these 
provisions of law are found at sections 831.1204 (for CSRS) and 844.201 
(for FERS) of Title 5, Code of Federal Regulations. The CSRS regulation 
requires an employee who is retiring on disability to file an 
application with OPM before separating from service, or within 1 year 
after separating. The FERS regulation requires an employee retiring on 
disability to file an application with his or her employing agency 
before separating from service, or to file the application with OPM 
within 1 year after departing.
    The proposed revision of these two sections will allow OPM to 
accept a CSRS or FERS disability application filed with an employee's 
agency prior to separation, or with either the former employing agency 
or OPM within 1 year after separation. This revision is a delegation of 
authority by the Director of OPM under section 1104(a)(2) of title 5, 
United States Code, allowing an agency's receipt of a disability 
regulation to satisfy the filing requirement in the law.
    Under the current rule, an application filed with the employing 
agency is not acceptable unless the agency forwards it to OPM in time 
to meet the 1-year filing deadline. Our proposed change will protect 
applicants who submit their applications to their employing agency 
within a year after separation. OPM instructions will require agencies 
to forward disability applications promptly to OPM for consideration.
    In addition, we propose revising sections 831.1204 and 844.201 of 
Title 5, Code of Federal Regulations to bring the CSRS and FERS 
disability application filing requirements into conformity with each 
other, as regards OPM-prescribed disability retirement forms and 
informal filings. The proposed regulations includes a standard for 
determining the date of filing, which parallels the standard in 
regulations of the United States Merit Systems Protection Board at 5 
CFR Sec. 1201.4(1).
    Finally, we propose revising Section 844.201(c) of Title 5, United 
States Code to clarify that in FERS, as in CSRS, an agency may consider 
the existence of a pending disability retirement application when 
deciding whether and when to take other personnel actions, but is not 
required to delay taking any appropriate personnel action.

Regulatory Flexibility Act

    I certify that this regulation will not have a significant economic 
impact on a substantial number of small entities because the regulation 
will only affect retirement and insurance benefits of retired 
Government employees and their survivors.

List of Subjects in Parts 831 and 844

    Administrative practice and procedure, Air traffic controllers, 
Alimony, Claims, Disability benefits, Firefighters, Government 
employees, Income taxes, Intergovernmental relations, Law enforcement 
officers, Pensions, Retirement.

U.S. Office of Personnel Management.
James B. King,
Director.

    Accordingly, OPM proposes to amend 5 CFR parts 831 and 844 as 
follows:

PART 831--RETIREMENT

    1. The authority citation for part 831 is revised to read as 
follows:

    Authority: 5 U.S.C. 8347; Sec. 831.102 also issued under 5 
U.S.C. 8334; Sec. 831.106 also issued under 5 U.S.C. 552a; 
Sec. 831.108 also issued under 5 U.S.C. 8336 (d)(2); 
Sec. 831.201(b)(6) also issued under 5 U.S.C. 7701(b)(2); 
Sec. 831.204 also issued under section 102(e) of the District of 
Columbia Financial Responsibility and Management Assistance Act of 
1995, Pub. L. 104-8, 109 Stat. 102, as amended by section 153 of 
Pub. L. 104-134, 110 Stat. 1321; Sec. 831.303 also issued under 5 
U.S.C. 8334(d)(2); Sec. 831.502 also issued under 5 U.S.C. 8337; 
Sec. 831.502 also issued under section 1(3), E.O. 11228, 3 CFR 1964-
1965 Comp.; Sec. 831.663 also issued under 5 U.S.C. 8339 (j) and 
(k)(2); Secs. 831.663 and 831.664 also issued under section 
11004(c)(2) of the Omnibus Budget Reconciliation Act of 1993, Pub. 
L. 103-66, 107 Stat. 410; Sec. 831.682 also issued under section 
201(d) of the Federal Employees Benefits Improvement Act of 1986 
Pub. L. 99-251, 100 Stat. 23; Sec. 831.1204 also issued under 5 
U.S.C. 1104; subpart S also issued under 5 U.S.C. 8345(k); subpart V 
also issued under 5 U.S.C. 8343a and section 6001 of the Omnibus 
Budget Reconciliation Act of 1987, Pub. L. 100-203, 101 Stat. 1330-
275; Sec. 831.2203 also issued under section 7001(a)(4) of the 
Omnibus Budget Reconciliation Act of 1990, Pub. L. 101-508, 104 
stat. 1388-328.

[[Page 2324]]

Subpart L--Disability Retirement

    2. Section 831.1204 is revised to read as follows:


Sec. 831.1204  Filing disability retirement applications: General.

    (a) Except as provided in paragraphs (c) and (d) of this section, 
an application for disability retirement is timely only if it is filed 
with the employing agency before the employee or Member separates from 
service, or with the employing agency or OPM within 1 year thereafter.
    (b) An application for disability retirement that is filed with OPM 
or an employing agency by personal delivery is considered filed on the 
date on which OPM or the employing agency receives it. The date of 
filing by facsimile is the date of the facsimile. The date of filing by 
mail is determined by the postmark date; if no legible postmark date 
appears on the mailing, the application is presumed to have been mailed 
5 days before its receipt, excluding days on which the receiving office 
is closed for business. The date of filing by commercial overnight 
delivery is the date the application is given to the overnight delivery 
service.
    (c) An application for disability retirement that is filed with OPM 
or the applicant's former employing agency within 1 year after the 
employee's separation, and that is incompletely executed or submitted 
in a letter or other form not prescribed by OPM, is deemed timely 
filed. OPM will not adjudicate the application or make payment until 
the application is filed on a form prescribed by OPM.
    (d) OPM may waive the 1-year time limit if the employee or Member 
is mentally incompetent on the date of separation or within 1 year 
thereafter, in which case the individual or his or her representative 
must file the application with the former employing agency or OPM 
within 1 year after the date the individual regains competency or a 
court appoints a fiduciary, whichever is earlier.
    (e) An agency may consider the existence of a pending disability 
retirement application when deciding whether and when to take other 
personnel actions. An employee's filing for disability retirement does 
not require the agency to delay any appropriate personnel action.

PART 844--FEDERAL EMPLOYEES' RETIREMENT SYSTEM--DISABILITY 
RETIREMENT

    3. The authority citation for part 844 is revised to read as 
follows:

    Authority: 5 U.S.C. 8461; Sec. 844.201 also issued under 5 
U.S.C. 1104.

Subpart A--General Provisions

    4. In section 844.201, paragraphs (a) and (c) are revised to read 
as follows:


Sec. 844.201  General requirements.

    (a)(1) Except as provided in paragraphs (a)(3) and (a)(4) of this 
section, an application for disability retirement is timely only if it 
is filed with the employing agency before the employee or Member 
separates from service, or with the employing agency or OPM within 1 
year thereafter.
    (2) An application for disability retirement that is filed with OPM 
or an employing agency by personal delivery is considered filed on the 
date on which OPM or the employing agency receives it. The date of 
filing by facsimile is the date of the facsimile. The date of filing by 
mail is determined by the postmark date; if no legible postmark date 
appears on the mailing, the application is presumed to have been mailed 
5 days before its receipt, excluding days on which OPM or the employing 
agency, as appropriate, is closed for business. The date of filing by 
commercial overnight delivery is the date application is given to the 
overnight delivery service.
    (3) An application for disability retirement that is filed with OPM 
or the applicant's former employing agency within 1 year after the 
employee's separation, and that is incompletely executed or submitted 
in a letter or other form not prescribed by OPM, is deemed timely 
filed. OPM will not adjudicate the application or make payment until 
the application is filed on a form prescribed by OPM.
    (4) OPM may waive the 1-year time limit if the employee or Member 
is mentally incompetent on the date of separation or within 1 year 
thereafter, in which case the individual or his or her representative 
must file the application with the former employing agency or OPM 
within 1 year after the date the individual regains competency or a 
court appoints a fiduciary, whichever is earlier.
* * * * *
    (c) An agency may consider the existence of a pending disability 
retirement application when deciding whether and when to take other 
personnel actions. An employee's filing for disability retirement does 
not require the agency to delay any appropriate personnel action.

[FR Doc. 97-1106 Filed 1-15-97; 8:45 am]
BILLING CODE 6325-01-M